Laura DresserCenter on Wisconsin Strategywww.cows.org

Seeds of Workforce Change

A regional approach to improving the economic landscape of Southwest and South Central Wisconsin

Presented to Dane Planning Forum, Friday September 29, 2006

The Region

Source:. Center on Wisconsin Strategy, GROW Report, Figure 1.4.

These 12 counties account for

More than 1 million people: 19 percent of WI population

600,000 workers: 20 percent of WI total $37 billion gross regional product: 20

percent of WI GSP $3.8 billion in exports: 16 percent of WI

total

Education, Manufacturing and Health in SWSC

Commuting Patterns in the Region

Source: U.S. Census Bureau. Commuting flows of county residents into work county exceeding 5% are shown.

4 Distinct Sub-Regions

Intra-Regional Trends

A Growing Region, but Uneven Growth (driven by Dane County)

Rural Counties Lagging

Rock County Vulnerable, Dependent on GM and Related Suppliers

Per Capita Income Growth1969–2003 (2002 dollars)

Center on Wisconsin Strategy, The Seeds of Workforce Change 2006

Sub-Regional Population Growth, 1969–2003

Source:. Center on Wisconsin Strategy, GROW Report, Figure 2.1.

Sub-Regional Snapshot of SWSC

Source:. Center on Wisconsin Strategy, GROW Report, Table 2.1.

Dane: A Center for Jobs

43 percent of total SWSC population 53 percent of total SWSC jobs High housing costs close to center push more

workers further out Increasingly commuters are spilling into

surrounding counties

Health Care Employment1990–2004, Four Sub-Regions

Source:. Center on Wisconsin Strategy, GROW Report, Figure 4.6.

Manufacturing Employment 1990–2004, Four Sub-Regions

Source:. Center on Wisconsin Strategy, GROW Report, Figure4.2.

Top Five Industries, Dane County, 2004

Center on Wisconsin Strategy, The Seeds of Workforce Change 2006

Dane County Top 10 Industries for Job Growth

Center on Wisconsin Strategy, The Seeds of Workforce Change 2006

Dane County Top 10 Occupations for Most Projected Job Growth

Center on Wisconsin Strategy, The Seeds of Workforce Change 2006

Median Wages and Shares of the Workforce by EducationWisconsin and U.S., 2005 (2005 dollars)

Center on Wisconsin Strategy, The State of Working Wisconsin 2006

Driver Industries, SWSC Wisconsin

Center on Wisconsin Strategy, The Seeds of Workforce Change 2006

Key Workforce Issues

Tight labor markets: Low unemployment looking forward

Job quality challenges: growing numbers of low-wage/low-benefit jobs

Skill gaps: Skilled trades, manufacturing, health care, public sector

For some, weak basic skills foundation Increasing diversity Increasing regional connections Seizing new opportunities in emerging

industries

Low Unemployment into the Future

Labor force participation rates high Baby boom shifting into retirement

Dane 79.3%

Rock 70.0%

Rural w/Urban Pressure 74.3%

Rural 70.6%

Wisconsin 70.5%

United States 66.0%

Source: Wisconsin DWD, US Bureau of Labor Statistics

Labor Force Participation, 2004

Who lacks a solid base of “basic skills”?

Speak EnglishLess than

"Very Well" (Ages 18-64)

Lacking HS Degree (Age 25 and over)

Dane 11,861 4.1% 21,177 7.8%

Rock 3,027 3.3% 15,887 16.1%

Rural Urban Pressure 3,279 1.9% 30,355 15.7%

Rural 963 1.2% 14,713 16.9%

Wisconsin 98,128 3.0% 518,417 14.9%

United States 15,486,421 8.9% 35,715,625 19.6%

Diversity is increasing, disparity remains significant

Graduation Rates, Madison Metro Schools, 2003-2004, by Race and Ethnicity

American Indian/Alaskan Native 54.5%

Asian/Pacific Islander 88.7%

Black 67.7%

Hispanic 69.4%

White 92.2%

Strategies for Moving the Region Forward

1. Build community support for ensuring economic and community success by building basic skills and investing in and engaging with disadvantaged youth

2. Strengthen and expand efforts for more coordinated, strategic, forward-looking work in regional workforce issues

3. Invest in industry partnerships that connect with growing and emerging occupational opportunities

Advanced Manufacturing/Food Processing Health Care Construction & Skilled Trades Biotechnology/Life Sciences & Biobased

Industry

Strategies for Moving the Region Forward (cont.)

4. Develop a health care “Workforce Excellence Center” for training current and future workers in

5. Pilot new ways of coordinating regional economic and workforce development activities

Collaborating on regional intervention and opportunity work

Cluster leadership